Leasing has been on the rise since 2009 and rose sharply from 2012 through the first half of 2013, with leases accounting for about 26% of all new light vehicle transactions. The pronounced dip in 2009 during the recession reflects the loss of several high volume leasing programs. Many leasing programs were eliminated due to heavy financial losses resulting from the sudden drop in residual values for the vehicles leased just prior to the recession. The Cash for Clunkers program also contributed to the lower leasing rates for 2009. Although leasing was permitted under that program, only long-term five-year leases qualified, while the more popular shorter term leases were ineligible for the program.
Annual Percentage of New Light Vehicle Leasing, 2002 – 2013*
Image
Image
Supporting Information
| Year | Percent Leased |
|---|---|
| 2002 | 17.5% |
| 2003 | 16.1% |
| 2004 | 16.3% |
| 2005 | 16.6% |
| 2006 | 19.3% |
| 2007 | 19.5% |
| 2008 | 19.4% |
| 2009 | 16.6% |
| 2010 | 21.3% |
| 2011 | 22.1% |
| 2012 | 22.2% |
| 2013* | 25.7% |
| * Leasing for January-June 2013. Source: Automotive News, "Leases buoy market, add factory risk," September 23, 2013. Original source: Edmunds. | |